(photo: ISS A/S)
04.05.2016, 11:08

A Solid Start to 2016

Company News

ISS, a leading global provider of facility services, announces its interim financial report for the first three months of 2016. Highlights include solid organic revenue growth of 3.7 per cent and a 4.5 per cent improvement in the group's operating margin. Highlights •Solid organic revenue growth of 3.7% (Q4 2015: 4.8%). •Improved operating margin of 4.5% (Q1 2015: 4.4%).

Interim report for the 1 January - 31 March 2016

ISS (ISS.CO, ISS DC, ISSDY), a leading global provider of facility services, announces its interim financial report for the first three months of 2016:

  • Solid organic revenue growth of 3.7% (Q4 2015: 4.8%).
  • Improved operating margin of 4.5% (Q1 2015: 4.4%). 
  • Strong cash conversion over the last twelve months of 99% (Q4 2015: 99%).
  • Profit before amortisation/impairment of acquisition-related intangibles increased to DKK 518 million (Q1 2015: DKK 426 million).
  • Net profit increased to DKK 399 million (Q1 2015: DKK 297 million).
  • Revenue generated from IFS increased by 11% in local currency (FY 2015: 11%), leading to a total share of 35% of Group revenue (FY 2015: 34%). 
  • Revenue from Global Corporate Clients increased by 15% in local currencies (FY 2015: 11%) and represents 10% of Group revenue (FY 2015: 10%). 
  • Strategic initiatives, including sharper focus on key customers, Business Process Outsourcing and the procurement programme, continue to be implemented according to plan and support margin development.
  • ISS has once again achieved the highest possible rating, five stars, by the International Association of Outsourcing Professionals (IAOP). 
  • The 2016 outlook for organic revenue growth, operating margin and cash conversion remains unchanged.

Jeff Gravenhorst, Group CEO, ISS A/S, said:
“We have had a solid start to the year thanks to our strategic initiatives and attractive offerings. Organic growth ended slightly stronger than anticipated due to relatively strong growth in Continental Europe and Asia & Pacific, driven by high demand for our integrated service solutions and growth from our Global Corporate Clients segment. Significant contract wins and retentions in the quarter included the extension of the multi-service contract with McLaren in the United Kingdom, the win of an IFS contract with Mitsui Fudosan in Taiwan, and major cleaning contracts within the hotel sector in the United Kingdom and with Pittsburgh International Airport in the USA. We continue to improve our margins and delivered significantly improved net profit for the quarter. We do not expect any major pick-up in the macro-economic environment, but we are confident that we can continue to grow and improve and hence deliver on our outlook for the year.”

Lord Allen of Kensington Kt CBE         Jeff Gravenhorst
Chairman                                                Group CEO

Article rating:

vote data

Artist's rendering of UBS Arena. (photo: Populous)
News Editor  - 04.11.2021

UBS Arena to Offer "New York" Flavors

UBS Arena, the metropolitan New York area's most anticipated live entertainment venue and future home of the New York Islanders Hockey Club, will feature distinctive menu choices when it opens...

 (photo: )
News Editor  - 03.11.2021

HRH The Prince of Wales Terra Carta Seal

Johnson Controls has been named as an inaugural recipient of the Terra Carta Seal from HRH The Prince of Wales in recognition of its commitment to creating a sustainable future.

Photograph: Matthew Maaskant. (photo: Matthew Maaskant)
Reportbuyer Reportbuyer  - 03.01.2016

UK Facilities Management Outsourcing Market

AMA Research have published the 4th edition of the 'Facilities Management Outsourcing - Corporate Sector Report – UK 2015-2019 Analysis'.

 (photo: PPG Aerospace)
OCS Group  - 20.12.2016

PPG Aerospace Contract Win

OCS has been awarded a three-year contract by PPG Aerospace. The contract, which started in October, sees OCS providing security, cleaning and catering at PPG Aerospace’s Shildon site in County...